Gold Road halts trading due to speculation over transaction
Gold Road Resources shares were suspended from trading in Sydney, with the miner citing “media speculation regarding a potential change of control transaction”.
The suspension will be lifted when the market opens on May 6, unless the company issues an announcement before then, the Perth-based miner said in an exchange filing Friday.
In March, Gold Road rejected a takeover approach from South Africa’s Gold Fields that valued the Australian miner at A$3.3-billion ($2.1-billion), saying the “extremely disappointing” offer undervalued the company. The Australian company’s shares have since climbed more than 20%.
Bullion’s record-setting run in recent years — which last month saw prices topping $3 500 an ounce — has breathed life into a sector that had its reputation tarnished by a history of overspending and operational setbacks.
Recent deals include Equinox Gold’s C$2.6-billion ($1.88-billion) acquisition of Calibre Mining in Canada, and CMOC Group’s C$2.16-billion purchase of Canada’s Lumina Gold.
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